AXA Australia has released a range of underwriting-related initiatives, with effect from 6 April 2009.
The simple message in this upgrade from AXA is to make it easier for advisers’ clients to insure with the company as it seeks to remove ‘unnecessary obstacles’ between the client and the insurance they need.
New mandatory medical requirements have been a focus for AXA in this update, with these details and other initiatives/changes summarised below:
Life and TPD Cover
- For clients aged 45 and below, the threshold for mandatory blood testing has been lifted to $2,500,001 (previously $1,000,001)
- For the 46 to 50 age group, the mandatory blood testing threshold has been lifted to $1,500,001 (previously $1,000,001)
- The new limit for a mandatory General Practitioner (GP) exam for those aged up to 45 has been raised from to $2,500,001 (previously $2,000,001)
- Mini checks (an abridged version of the medical examination that can be performed by a registered nurse) and Paramedical exams are no longer a mandatory requirement for ages under 50
Trauma Cover
- For ages 46 to 50, AXA has lifted the threshold for mandatory blood testing to $750,001 (previously $500,001)
Income Protection and Business Expenses
- Mandatory requirement for a Personal Medical Attendant’s Report (PMAR) for ages up to 50 increased to $15,001 monthly benefit (previously $10,001)
- Introduction of a mini check for cases over $10,001 monthly benefit for ages up to 60
- Increase to the financial underwriting limits for all occupation categories for agreed value policies - intended to “…simplify and reduce the financial requirements requested at application time, leading to a smoother process for income insurance applications…”
Other Changes
- Mini checks now required when Body Mass Index (BMI) reaches 32 (previous BMI point for mini checks was 33)
- Updated underwriting requirements specific to platforms to apply from 6 April 2009 (applies to Summit, Generations and ipac platforms)
- AXA’s Workplace Rewards & Family Program facility (premium discount initiative where 5 or more members of a workplace or family or a combination take out insurance cover) now available for insurance written under the AXA North capital protected investment product
- AXA’s successful ’15 Below’ premium discount initiative for clients aged 55 - 60 next birthday has finally been removed
“Fewer delays for healthy clients will help ensure quicker processing, increasing the percentage of completions and lowering end-to-end turnaround times,” states AXA in its message to advisers.
Accompanying the release of this update was an announcement by AXA’s Head of Individual Life Insurance, Stephen Rosengren, who said AXA’s financial protection business continued its positive momentum by recording its strongest March on record.
“The number of insurance applications processed in March 2009 is up 25% on last year,” said Mr Rosengren, who added “One of our main objectives is to make insurance more accessible and competitive this year which is aligned with our strategy of regaining our leading position in financial protection.”
AXA’s updated Easy Reference Guide can be accessed from the riskinfo Resource Centre: AXA Adviser Easy Reference Guide for Individual Insurance April 2009
